This Could be it FnO Traders!

you mean intraday leverage will be stopped i near future?

In equity reduced to 8x only (already)
In FnO - stopped completely. (already)

Brokers still giving as discussions etc going on.

2 Likes

I am asking what is more likely, leverage will be there or not? of course final decision we will know by this weekend

Leverage won’t be stopped completely just reduced as some brokers are giving way too much leverage.

1 Like

As said
Equity it’s capped to 8x.
In FnO no leverage will be there
(most probably)

1 Like

Perhaps you have no Idea how intraday trades are taken, for one trade with 1% risk per capital one has to place 7-8 orders according to set up and after trigging rest of the open trades are cancelled and once the first trade comes to break even, the trader searches another set up and again place 7-8 orders to trigger one…so on and so forth so in this case a trader is not a gambler rather a systematic trader who needs leverage for intraday trading

2 Likes

I am trading since last 10 years and never seen a gap in intraday in high liquid shares, so the margin is OK with positional trades but as the nature of intraday trades are completely different, regulators should provide extra leverage so that a professional trader can trade peacefully, with a BO/CO order the risk is already fixed before the trade is taken and yes a very rare case of trade not trigger or SL not hit or price jumped is likely but very rare, part of every business, part of life as well

1 Like

Yeah risk is everywhere… As long as we live on Earth… Sigh

1 Like

He is CA , he worked lot of brokerage company and bank , he have experiance in stock market experiance on 20+ years , in his life he seen some of the worst strategy in market , how the people are suffering , see the video may be you can escape or reuse in market life

4 Likes

I can’t understand one thing why some people are against the leverage provided by broker
It’s just an option provided by broker it totally depends on you to opt or not , no one forces you.
Just like loan is provided by bank , all customers do not take loans.
Some logics have been given by some people that due to leverage people suffer huge losses so it should be stopped, why ,
One man takes a loan from bank to start a business and suffer huge losses , what does it mean , Bank must stop loan facility :grin::grin:
What about those people who suffered huge losses in shares of companies like Rel comm, Yes Bank …
etc etc just because of averaging
So is averaging is not good for investors
I have total 8 years of experience in stock market and I started options trading after full understanding so it’s totally my responsibility that I earn or loose money , if I suffer losses not my broker , not leverage , no market , not anyone is responsible for it only I am…

2 Likes

yes you are correct ,but all people are not getting loan sir, they will check about your credit score , your job , your education , they will check 100 documents before processing a loan ,
but in market you have 1 lakhs , no one is not checking you trading knolwdege , no one seeing your income, the leverage is automatically default , when the leverage is free , everybody try to taste the leverage thats the problem

Business Loan is not easy in bank , you want to proof you knowledeg in particular business , other wise you will never get a single rupee, but in broker is default thats a problem , trader and broker both will come bankrupt one day

now a days bank bankrupts are very rare , brokers bankrupts are very high , every year 5 broker going to bankrupts , its really a worry thing

3 Likes

Simple thing if one company share is going down , you have two chance in your hand , one is averaging . another one is exit,
For particular reason XXX company is going down , first we need to check if the company is DEBT free or not , second the company is facing internal or external problem we need to check ,
if the company facing problem through internal like management , debt , some other factor means . professional investor will exit the stock immediately ,
if the same company is facing problem through external factor , like global , or goverment policy , then no [problem professional investor try to average in the stock in the gap of 10%

1 Like

Exactly what I want to say , before trading options just check your understanding, Risk involved max loss , max profit then trade otherwise not
And let others take benefit of leverage

1 Like

If people say that intraday trading is gambling, then why is it not banned?

Because any form of gambling is illegal.

@trader_dude sir, in shop you buy pesticide , the shopkeeper think you use the pesticide to spray in the garden ,
shopkeeper enjoyed the profit of selling pesticide to you govt received a tax also
but you try to drink the pesticide , you will loose your life , not shopkeeper or govt , its 100 % responsible to you only , you want to drink or you want to spray to the garden

in my words , i never buy pesticides , for every products we have a market in the world , so its our responsible which one we want to choose and suitable for us

4 Likes

So you are saying intraday trading is NOT gambling. correct?

See , dont point some name to one product in the market , i am not saying any thing about that , for me its not suitable product because the success ratio is falling below 40 % , i always stick with above 80% , intraday and over trading are not good for your wealth and health also , treat it whatever you want

Most part people entering stockmarket without education is to making more money in market ,mostly protecting a capital is almost upper important in market ,try to learn Risk management , good luck

2 Likes

If you sell on the same day, it’s intraday. If you sell on the forth coming day, it’s positional.

Riyas is trying to explain to you regarding the leverage and not intraday…

1 Like

But my point was completely different.

It was about intraday , since @Riyas_Ahamed posted a video claiming that intraday trading is gambling.

But he evaded the question twice now. LOL.

@nithin

What are the chances that everything will get resolved before this weekend?
Asking because you must be in know of progress.
TIA